PPT is part of my paper presentation, published paper is part of a book launched by Galgotias College of law, UP.

1. Corporate Governance:
Need For Transparency And Accountability
BY: ANURADHA CHITTARA
WRITE TO ME: anuradhachittara@gmail.com
TWITTER: @chittaranuradha

2. Defining Corporate Governance
 Cadbury Committee: Corporate governance concerns to how companies are directed and controlled.
 Economists: The corporate governance relies on the standard definition which revolves around the
defense of shareholders interests suggesting separation of ownership and control regarding a 'principal'
on one side and an 'agent' on the other.
 Tenets of Corporate Governance
 Protection of the rights of shareholders:
 The role of stakeholders in corporate governance
 Disclosure and transparency
 The equitable treatment of shareholders
 Responsible board and other responsibilities

3. Famous frauds:
0 200 400 600 800 1000 1200 1400 1600 1800 2000
1992
2002
2009
2012
2016
50, Harshad mehta securities
scam
1.37, ketan parekh scam
200, stamp paper scam
1760, 2G scam
71.36, Satyam
250, Sahara Scam
1860, Coal Scam
400, Saradha Group financial
statements
9, kiingfisher scam
amount in bn
amount in bn

4. What are the Strategies adopted by the
Companies?
Few of the strategies adopted by the defrauding companies-
 By creation of fictitious assets-Satyam Case
 Gross overstatement of earnings-Enron
 Misappropriation of funds and Gross misuse of power-Reebok India fraud
 Related party transactions
 Insider Trading-Apollo Tyre

5. Issues with Corporate Governance:
• A balanced board
• Evaluations of KMP
• Independent Directors
• Removal of Independent Directors-Reasons
• Accountability to stakeholders
• Executive compensation
• Founder’s Control and Planning
• Risk Management
• Protection from possible misuse of data
• E-governance

6. Ethical norms increase the value and
performance of a company by:
 Improving strategic thinking,
 Independent decision making by a balanced board with impartial, independent
directors on the top to add on to the out of the box ideas.
 Monitor the global risk factors more efficiently.
 The personnel's at the top management effective manages the operations of the
company and directors without affecting the management decision making sticks
to the agendas restricted to the board.
 The most important of all the financial reports are aimed with transparency,
accountability, and fairness towards the stakeholders, etc.

7. Challenges ahead
 Increasing the strength the ethical policies and compliance.
 E-Governance, acceptance to EDIFR.
 Vigilant SEBI
 Observance to the NFRA-strict attitude towards accounting faults.
 Removal of Independent Directors be made transparent.
 Whistle blowers be protection.

8. Thank you & Regards
-ANURADHA CHITTARA